Weekly Options Newsletter: Edition 39 Open House Edition

Jun 13, 2017

Weekly Options Newsletter: Edition 39

Disclaimer: All trades carry inherent risk, especially options. Make sure you fully know and understand how to mitigate risk on options. Use stops and trade the amount of risk you are comfortable losing. If you are unaware of how to do this on your platform, feel free to reach out to me at jerremy@reallifetrading.com and I will help you!

Below is my plan regarding a directional option trade. You by no means have to place this trade and I'm not suggesting any specific advice. This is to help traders learn how to mitigate risk and trade options effectively. If you do place this trade, ensure that you do not allow any option [long or short] to expire/close in the money on the expiration date, unless you are comfortable with that option being potentially exercised.

This is the FREE Weekly Options Newsletter for anyone and everyone. You are fully allowed and encouraged to share this write up. If anyone has any questions, please let me know!

Below is the new official trade. We have 0 open weekly option trades right now.

Buy To Open June week 5 (That's June 30th, 2017) $150 calls on NFLX

$4.50 limit buy on the option price

RISK: $400.00 {FEEL FREE TO DETERMINE YOUR OWN RISK}

STOP: 3.00

TOTAL OPTION RISK. $1.50

$400 / 1.50 = 266 SHARES

The amount of contracts per above risk: 266 shares, or 2-3 contracts. Let's go with 2

Targets:

Target 1 $7.00 (for 1 contract)

Target 2 $8.40 (for the other contract)

Stock Chart.

This trade needs to trigger by EOD Friday. If it doesn't, I will totally cancel this trade and we will set up a new one next week (and possibly you'll get a bonus on over the weekend if this doesn't trigger)

I hope this is helpful. If you have any questions, let me know! Have a great weekend!

Until next time, Love Life, Live Life and Trade it!

Your humble CEO of Real Life Trading ~ Jerremy Alexander Newsome

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